MBS Highway Housing Index, May 2026
The MBS Highway National Housing Index rose 5 points in May 2026, climbing from 42 in April to 47. Buyer activity rebounded sharply from last month’s rate-driven pullback, hitting exactly 50 — the expansion threshold — while price direction continued its slow but steady climb.
National Data
After April’s setback, the MBS Highway National Housing Index bounced back in May, gaining 5 points month over month to reach 47. The index now sits 5 points above its level from a year ago, suggesting the underlying trend remains constructive despite month-to-month volatility. As a reminder, a reading of 50 separates contraction (below 50) from expansion (above 50).
Buyer activity drove the recovery, jumping 8 points month over month to 50 — right on the expansion threshold, and 9 points above its year-ago level of 41. Nationwide, approximately 32% of respondents described buyer activity as active, a meaningful recovery from April’s 24%. The interest rate sensitivity we saw in April appears to have partially unwound.
Price direction edged up 2 points month over month to 43, just 1 point above its May 2025 level of 42. The slow, grinding improvement in price direction continues — it has now risen for the last six months — but remains well below 50 nationally, meaning price reductions still outnumber price increases across the country.
Buyer activity drove the recovery, jumping 8 points month over month to 50 — right on the expansion threshold, and 9 points above its year-ago level of 41. Nationwide, approximately 32% of respondents described buyer activity as active, a meaningful recovery from April’s 24%. The interest rate sensitivity we saw in April appears to have partially unwound.
Price direction edged up 2 points month over month to 43, just 1 point above its May 2025 level of 42. The slow, grinding improvement in price direction continues — it has now risen for the last six months — but remains well below 50 nationally, meaning price reductions still outnumber price increases across the country.
Regional Data
Buyer activity improved in six of seven regions, with the Northeast surging an extraordinary 39 points month over month to 83. The Midwest also posted a strong gain (+14 to 63), and the Mid-Atlantic continued its run of strength (+8 to 72). Despite the broad rebound, only four regions — Northeast, Mid-Atlantic, Midwest, and Northwest — are at or above the 50 threshold.
Price direction was more mixed. Four regions improved and three declined. The Northeast (+13 to 79) and Mid-Atlantic (+7 to 70) continued to lead all regions, with both at levels reflecting strong seller conditions. The Midwest (+6 to 63) and West (+5 to 46) also posted solid gains. On the other side, the Southeast (-6 to 26), Southwest (-5 to 25), and Northwest (-4 to 38) all saw price direction weaken.
Buyer activity improved in six of seven regions, with the Northeast surging an extraordinary 39 points month over month to 83. The Midwest also posted a strong gain (+14 to 63), and the Mid-Atlantic continued its run of strength (+8 to 72). Despite the broad rebound, only four regions — Northeast, Mid-Atlantic, Midwest, and Northwest — are at or above the 50 threshold.
Price direction was more mixed. Four regions improved and three declined. The Northeast (+13 to 79) and Mid-Atlantic (+7 to 70) continued to lead all regions, with both at levels reflecting strong seller conditions. The Midwest (+6 to 63) and West (+5 to 46) also posted solid gains. On the other side, the Southeast (-6 to 26), Southwest (-5 to 25), and Northwest (-4 to 38) all saw price direction weaken.
Question of the Month
The sudden rise in mortgage rates in the wake of the US/Iran war has upended many buyers’ plans. We asked our survey respondents: For clients who have decided to postpone a home purchase this spring, what reason are they most often citing?
• Inflation / affordability
• Economic uncertainty
• Rising oil and gas prices tied to global conflict
Overall, 55% of respondents said that inflation/affordability concerns had led some clients to delay or shelve their purchase plans. An additional 35% said that economic uncertainty was the main culprit.
The sudden rise in mortgage rates in the wake of the US/Iran war has upended many buyers’ plans. We asked our survey respondents: For clients who have decided to postpone a home purchase this spring, what reason are they most often citing?
• Inflation / affordability
• Economic uncertainty
• Rising oil and gas prices tied to global conflict
Overall, 55% of respondents said that inflation/affordability concerns had led some clients to delay or shelve their purchase plans. An additional 35% said that economic uncertainty was the main culprit.
Methodology
MBS Highway’s monthly Housing Index provides an accurate and real-time read on buyer activity and home price direction both nationally and regionally in the U.S. housing market. This survey of 30,000 mortgage and real estate professionals fills a crucial industry need for insights that reflect buyers’ immediate experiences, helping mortgage loan originators to better serve homebuyers.
The MBS Highway Housing Survey is comprised of two separate component indices: buyer activity and home price direction. Each month, respondents rank buyer activity as “active,” “steady,” or “slower,” and home price direction as “price increases,” “steady,” or “price reductions.” A national and regional index is calculated for each component index by applying the formula “[active + (steady/2)]” for buyer activity, and “[price increases + (steady/2)]” for home price direction. The score for each component index is then used to calculate the MBS Highway Housing Index by applying the formula "[(national buyer activity/2) + (national home price direction/2)].
Any number over 50 indicates expansion while a number below 50 indicates contraction. The MBS Highway Housing Index can range between 0 and 100.
Dan Habib, MBS Highway’s Chief Revenue Officer, explained, “There are a few reliable housing reports available in the market, most of which are delayed by two months. Because MBS Highway has a large base of mortgage and real estate clients, we felt we were in a unique position to capture real-time housing data from our subscribers, who are on the front lines of the housing market.”
MBS Highway’s monthly Housing Index provides an accurate and real-time read on buyer activity and home price direction both nationally and regionally in the U.S. housing market. This survey of 30,000 mortgage and real estate professionals fills a crucial industry need for insights that reflect buyers’ immediate experiences, helping mortgage loan originators to better serve homebuyers.
The MBS Highway Housing Survey is comprised of two separate component indices: buyer activity and home price direction. Each month, respondents rank buyer activity as “active,” “steady,” or “slower,” and home price direction as “price increases,” “steady,” or “price reductions.” A national and regional index is calculated for each component index by applying the formula “[active + (steady/2)]” for buyer activity, and “[price increases + (steady/2)]” for home price direction. The score for each component index is then used to calculate the MBS Highway Housing Index by applying the formula "[(national buyer activity/2) + (national home price direction/2)].
Any number over 50 indicates expansion while a number below 50 indicates contraction. The MBS Highway Housing Index can range between 0 and 100.
Dan Habib, MBS Highway’s Chief Revenue Officer, explained, “There are a few reliable housing reports available in the market, most of which are delayed by two months. Because MBS Highway has a large base of mortgage and real estate clients, we felt we were in a unique position to capture real-time housing data from our subscribers, who are on the front lines of the housing market.”